Business Licensing & Conditional Use Permits ('CUP')

Our lawyers can prepare and file your medical marijuana and/or recreational marijuana business license application. We can handle both your city and state applications. We are experienced and can represent you at required hearings before the City Council when they review and decide on your conditional use permit application. We also represent you in front of the Planning Commission for hearings which are typically required before a person or entity can be granted a conditional-use permit or medical marijuana license within a local municipality. We can also represent you for the state cannabis licenses which are available starting in 2018. We also assist with the technical requirements of the application including such things as security plans, site plans and any of the California Environmental Quality Protection Act requirements.

Business Licensing for Medical Marijuana at the State and Local Levels

The Medical Marijuana Regulation and Safety Act (MMRSA) was signed into law in 2015. Under MMRSA, commercial cannabis activity is legalized. The MMRSA statewide licensing program regulates growth, manufacture, transportation, distribution, testing, and retail dispensing in California's medical marijuana industry. Under MMRSA, a state licensing authority must charge each licensee a licensure and renewal fee. License fees must be deposited into an account specific to that licensing authority in a Medical Marijuana Regulation and Safety Act Fund.

There are 17 different types of licenses based on the type of business activity involved. The following types of business are permitted under MMRSA: cultivars with four total acres of growing area, manufacturers, testing labs, retail dispensaries, distributors, and transporters. Each of these types of business must acquire its own license as provided in Section 19300.7 of the California Business and Professions Code. For example, a Type 1 license will be allowed for small specialty outdoor operations, whereas a Type 4 license is required for cultivation in a nursery. A Type 6 or 7 license will be required for manufacturers, while a Type 8 license is required for those engaged in testing. Type 10 and Type 10A are for dispensaries. Type 11 is a license for distributors, while transportation businesses must apply for a Type 12 license.

Licensees may usually hold licenses in two separate categories, but only in certain combinations. All cultivators and manufacturers must send their products to a Type 11 licensee in order to obtain quality assurance, and Type 11 licensees must submit marijuana products to Type 9 laboratories.

Certain restrictions apply to applicants for these licenses. You will need to submit your fingerprints for a criminal background check. It is important to note that you may be denied if you have had a felony conviction for certain drug crimes, including sale, cultivation, or possession with intent to sell, or if you have had a felony conviction for a serious felony, a violent crime, a crime of deception, fraud, or embezzlement. You may also be denied for past violations of local ordinances, or if your local license to operate a medical marijuana business was revoked within three years of your application.

Whether you have been in the industry for years or you are new to this business, you may be confused by the changes in the reform package. Businesses face the need to comply with substantial changes to existing rules and regulations in order to be eligible for licenses once the state begins providing them. Businesses that are able to show compliance with the law are likely to be able to operate when license applications begin to be reviewed. It is anticipated that this will occur in 2018.

Medical marijuana law is a rapidly developing area, and it would be easy for a business or would-be business to be rejected when applying for a license, considering all the new rules and requirements. Our Los Angeles medical marijuana license attorneys can provide thorough advice and representation to people and businesses in the medical marijuana industry. We serve clients throughout Los Angeles, Orange, and Riverside Counties, including in Beverly Hills, Burbank, Hollywood, Van Nuys, Woodland Hills, Long Beach, Anaheim, Irvine, Newport Beach, Tustin, Laguna Niguel, Corona, Indio, and Moreno Valley. Call us at (714) 937-2050 or use our online form to set up a consultation with a cannabis attorney.

We serve the following localities: Los Angeles County including Beverly Hills, Los Angeles, Burbank, Hollywood, Van Nuys, Woodland Hills, and Long Beach; Orange County including Anaheim, Irvine, Newport Beach, Tustin, and Laguna Niguel; and Riverside County including Corona, Indio, and Moreno Valley.